Browse Forums Building A New House 1 Mar 11, 2009 9:57 pm It's my turn to ask other members a question about something I am not familiar with Please go easy on me!
The Land Rent Scheme gives a lessee the option of renting land through a land rent lease rather than purchasing the land to build a home. Has anyone had anything to do with the ACT Land Rent Scheme or any other similar scheme in any other state or territory? I would like to hear about any experiences with this. A family member of one of my customers has asked for help on the scheme. I called the ACT government hotline which did not really help (apart from saying it hasn't been popular), I sent two emails asking specific questions which still remain unanswered and the fact sheet on it is pretty generic. Re: Land Rent Scheme ACT 2Mar 11, 2009 10:00 pm I thought all land in ACT was only on a 99 year lease.. ie you can't buy land there. Re: Land Rent Scheme ACT 3Mar 11, 2009 10:02 pm Yes but this is different, you delay the payment and they allow you to build on it before full payment. Re: Land Rent Scheme ACT 4Mar 12, 2009 12:35 am WBA you are spot on about the 99 year leases for 'normal' land titles in the ACT however what thlo is referring to is a new housing affordability initiative for low to medium income families in the ACT.
The thrust of the scheme is that (dependent on means tests) you actually 'rent' your land from the government rather than buy it; and because the rent is much lower than what a mortgage would be (for the land) then, theoretically at least, you should be able to build on it immediately. Then, in a few years time, when you are better off financially you can negotiate to buy the land. I don't have any concrete details (as this is only a recent development) but I have heard whispers that it may be a very short-lived option as the govt has been unable to attract the necessary interest from any financial institution to underwrite it (possibly explains the scarcity of information). It appears to be one (of the many) last minute promises by the govt prior to last year's election that sounded good on paper but has floundered since due to the devil in the detail. In any case, try the following link if you haven't been there yet ---> http://www.actaffordablehousing.com.au/resources/pdfs/Land_rent_FS.pdf Good Luck! 'We make a living by what we get, but we make a life by what we give.' - Winston Churchill Re: Land Rent Scheme ACT 5Mar 12, 2009 6:57 am yea when we built in Canberra 5 years ago. It was only the 99 year lease. I haven't herd about this other thing. John, Tarin and the Kids Built and moving in to the Regent Grande with Masterton homes http://thebrownsaremovingtothecountry.blogspot.com Re: Land Rent Scheme ACT 6Mar 12, 2009 7:30 am so what actually happens in 99 years? Do you have to buy it again? Re: Land Rent Scheme ACT 7Mar 12, 2009 12:55 pm my old neighbours in claremont meadows nsw had that rent buy system on there house finished building 40 square home on 5 acres with perry homes.working on the landscaping just finished pool deck with ://forum.homeone.com.au/viewtopic.php?f=31&t=2217 Re: Land Rent Scheme ACT 8Mar 12, 2009 12:57 pm but remembering now theres was different they rented part of there home and had a loan for the another so they were paiding mortagge and rent finished building 40 square home on 5 acres with perry homes.working on the landscaping just finished pool deck with ://forum.homeone.com.au/viewtopic.php?f=31&t=2217 Re: Land Rent Scheme ACT 9Mar 12, 2009 6:19 pm Canberra has a 99 year lease, but it starts again every time it is sold and bought. I think there has only ever been one case where one family kept the land in their famly for the 99 years..
The land rent scheme is a new scheme where you can pay off the block so to speak week by week like rent, but the downside of this (as has been in all the papers) is that it is then very hard to get finance for the build as there is no equity etc, I think at this stage no banks are lending and the sceme has not been a success...they are reviewing... Re: Land Rent Scheme ACT 10Mar 12, 2009 6:32 pm fordehouse Canberra has a 99 year lease, but it starts again every time it is sold and bought. I think there has only ever been one case where one family kept the land in their famly for the 99 years.. How could that have happened when the ACT has only existed for 98 years? Re: Land Rent Scheme ACT 11Mar 12, 2009 10:22 pm enigma_brennan ... the govt has been unable to attract the necessary interest from any financial institution to underwrite it. Yes, having read up on it, it never made any sense from a lending point of view; i.e. lending to build without the title on land. That was one of my questions to the dedicated email addresses ACT public servants gave me, whether they had special arrangements with any lenders. The fact that they never replied was a good indication that it is a FLOP. Thank you to enigma_brennan and fordehouse. Re: Land Rent Scheme ACT 12Mar 12, 2009 10:33 pm Work colleague of mine almost went ahead with this last year. Back then there was only one lender willing to do it (Wizard) and now they no longer exist.
You pay 2% rent (depending on income) on the land, which looked good last year when interest rates were higher. Re: Land Rent Scheme ACT 13Mar 15, 2009 1:33 pm I'd like to see what happens if you rent the land and live in a house you built on it say let's say for 5 years and then you decide not to buy the land. What would the government do then, especially if there are others who want to buy your land? I'm renovating - building a small extension at the back of the late Edwardian house. This is the first stage. Second stage of the renovation will be to replace roof on… 0 1085 Yeah I don't know why I came to a forum. Place is full of wierdos/pedos thought internet may help but I suppose I'll try my luck with someone in person. Cheers. I tried… 0 6442 Need advice on the backyard plan above. Should I excavate and cut all of the dirt to level with the house slab or semi-excavate as per photo above? Both left and right… 0 24863 |